**United      States**

**Securities      and Exchange Commission**

**Washington,      DC 20549**

**FORM      10-QSB**

**December      31, 2006**

**000-28789**

**Falcon      Ridge Development Inc.**

| **Nevada**                                                                                    |   | **84-1461919**                                  |
|-----------------------------------------------------------------------------------------------|--------|-------------------------------------------------|
| (State                or other jurisdiction of incorporation)                                 |   | (IRS                Employer File Number)  |
|                                                                                          |   |                                            |
|  **5111                Juan Tabo Boulevard N.E. Albuquerque, New                Mexico** |   |  **87111**                                 |
| (Address                of principal executive offices)                                  |   | (zip                code)                  |
|                                                                                          |   |                                            |

**(866)      302-2248 **

**Yes      [X]**

**No      [X]**

**.**

**No      [X]**

----

**TABLE      OF CONTENTS**

|                                                                                                                                                                                                  |   | **Page** |
|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|----------|
| PART                I- FINANCIAL INFORMATION                                                                                                                                                     |   |     |
|  Item                1. Financial Statements.                                                                                                                                                    |   |     |
|     Balance                Sheet (Unaudited) at December 31, 2006                                                                                                       |   | 1   |
|     Statements                of                Operations (Unaudited) for the three months ended                December 31, 2006 and 2005                                  |   | 2   |
|     Statements                of                Shareholders' Deficit (Unaudited)                for the for the three months ended                December 31,2006 and 2005 |   | 3   |
|     Statements                of                Cash Flows (unaudited) , for the three months ended December31, 2006                and                2005                       |   | 4   |
|     Notes                to Consolidated Financial Statements                                                                                                                |   | 5   |
| Item                2. Management's Discussion and Analysis or Plan of                Operation.                                                                                                      |   | 14       |
| Item                3. Controls and Procedures                                                                                                                                                        |   | 18       |
|                                                                                                                                                                                                  |   |     |
| PART                II - OTHER INFORMATION                                                                                                                                                            |   |     |
| Item                1. Legal Proceedings.                                                                                                                                                             |   | 19       |
| Item                2. Unregistered Sales of Equity Securities and Use of                Proceeds                                                                                                     |   | 19       |
| Item                3. Defaults Upon Senior Securities.                                                                                                                                               |   | 19       |
| Item                4. Submission of Matters to a Vote of Security Holders.                                                                                                                           |   | 19       |
| Item                5. Other Information.                                                                                                                                                             |   | 19       |
| Item                6. Exhibits and Reports on Form 8-K.                                                                                                                                              |   | 20       |
| Signatures                                                                                                                                                                                            |   | 21       |

----

**FALCON        RIDGE DEVELOPMENT, INC.**

**BALANCE        SHEET**

**(Unaudited)**

| **Assets**                                                            |   |   |       |
|-----------------------------------------------------------------------|--------|--------|------------|
|                                                                  |   |   |       |
|                                                                  |   |   |       |
| Real                  estate held for development and sale            |   | $      | 2,944,291  |   |
| Fixed                  assets, net of accumulated depreciation        |   |   | 34,805     |   |
| Cash                                                                  |   |   | 159,947    |   |
| Other                  assets                                         |   |   | 220        |   |
| Total                  assets                                         |   | $      | 3,139,263  |   |
| **Liabilities                  and Shareholders' Equity**             |   |   |       |   |
|                                                                  |   |   |       |   |
| **Liabilities**                                                       |   |   |       |   |
| Indebtedness                  to related parties                      |   | $      | 1,033,008  |   |
| Notes                  payable                                        |   |   | 570,311    |   |
| Accounts                  payable                                     |   |   | 467,740    |   |
| Retainage                  payable                                    |   |   | 100,000    |   |
| Accrued                  expenses                                     |   |   | 62,030     |   |
| Preferred                  Shares subject to manadatory redemption    |   |   | 485,000    |   |
| Total                  liabilities                                    |   |   | 2,718,089  |   |
|                                                                  |   |   |       |   |
| **Shareholders'                  Equity**                             |   |   |       |   |
| Preferred                  stock,Class A .0001 par value,             |   |   |       |   |
| 400,000                  shares authorized, 160,000 shares issued and |   |   |       |   |
| outstanding                                                           |   |   | 400,000    |   |
|                                                                  |   |   |       |   |
| Common                  stock, $0.001 par value, 900,000,000 shares   |   |   |       |   |
| authorized,                  14,011,312 shares issued and             |   |   |       |   |
| outstanding                                                           |   |   | 752,262    |   |
| Additional                  paid-in capital                           |   |   | 909,670    |   |
|                                                                  |   |   |       |   |
| Accumulated                  equity                                   |   |   | (1,640,758 | ) |
|                                                                  |   |   |       |   |
|  Total                  Liabilities and Shareholders' Equity     |   |   | 421,174    |   |
|                                                                  |   |   |       |   |
|                                                                  |   | $      | 3,139,263  |   |

*-          1          -*

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**FALCON        RIDGE DEVELOPMENT, INC.**

**STATEMENT        OF OPERATIONS**

**(Unaudited)**

|                                                           |   | **Three                  Months Ended** |      |
|----------------------------------------------------------------|--------|-----------------------------------------|-----------|
|                                                           |   | **December                  31**        |      |
|                                                           |   | **2006**                                |      | **2005** |   |
|                                                           |   |                                    |      |   |   |
| Lot                  sales:                                    |   |                                    |      |   |   |
| Net                  sales                                     |   | $                                       | —   |   | $ | 643,969 |   |
| Costs                  of sales                                |   |                                    | —   |   |   | (689,730 | ) |
|                                                           |   |                                    |      |   |   |   |   |
| Gross                  profit (loss)                           |   |                                    | —   |   |   | (45,761 | ) |
|                                                           |   |                                    |      |   |   |   |   |
| Selling,                  general and administrative expenses  |   |                                    | 153,934   |   |   | 214,568 |   |
|                                                           |   |                                    |      |   |   |   |   |
| Loss before                  provision for income taxes   |   |                                    | (153,934  | ) |   | (260,329 | ) |
|                                                           |   |                                    |      |   |   |   |   |
| Income                  taxes                                  |   |                                    | —   |   |   | — |   |
|                                                           |   |                                    |      |   |   |   |   |
| Loss                                                           |   |                                    | (153,934  | ) |   | (260,329 | ) |
|                                                           |   |                                    |      |   |   |   |   |
| Loss                  per share                                |   | $                                       | —   |   | $ | — |   |
|                                                           |   |                                    |      |   |   |   |   |
| Weighted                  average number of shares outstanding |   |                                    | 3,117,647 |   |   | 593,163 |   |

*-          2          -*

----

**FALCON        RIDGE DEVELOPMENT, INC.**

**STATEMENT        OF SHAREHOLDER'S DEFICIT**

**(Unaudited)**

|                                             |   |                                 |    |                              |   |                      |   |                           |         |        |   |        |   |      |    |
|--------------------------------------------------|--------|--------------------------------------|---------|-----------------------------------|--------|---------------------------|--------|--------------------------------|--------------|-------------|--------|-------------|--------|-----------|---------|
|                                             |   | **Preferred                  Stock** |    | **Common                  Stock** |   | **Additional****paid-in** |   | **Accumulated**                |         |        |   |
|                                             |   | **Shares**                           |    | **Par                  value**    |   | **Shares**                |   | **Par                  value** |         | **capital** |   | **deficit** |   | **Total** |    |
|                                             |   |                                 |    |                              |   |                      |   |                           |         |        |   |        |   |      |    |
| Balance                  at                      |   |                                 |    |                              |   |                      |   |                           |         |        |   |        |   |      |    |
| October                  1, 2005                 |   |                                 | 160,000 |                              | $      | 400,000                   |   |                           | 752,147,441  |        | $      | 752,147     |   | $         | 38,418  |   | $ | (808,498 | ) | $ | 382,067 |   |
|                                             |   |                                 |    |                              |   |                      |   |                           |         |        |   |        |   |      |    |   |   |   |   |   |   |   |
| Adjustment                  for acquisition of   |   |                                 |    |                              |   |                      |   |                           |         |        |   |        |   |      |    |   |   |   |   |   |   |   |
| Spanish                  Trails, LLC (Note 2)    |   |                                 | — |                              |   | —                   |   |                           | —      |        |   | —     |   |      | (38,418 | ) |   | — |   |   | (38,418 | ) |
| Compensation                                     |   |                                 | — |                              |   |                      |   |                           | 115,000      |        |   | 115         |   |      | 2,185   |   |   | — |   |   | 2,300 |   |
| Effect                  of reverse split 8-06    |   |                                 | — |                              |   | —                   |   |                           | (748,501,129 | )           |   | —     |   |      | — |   |   | — |   |   | — |   |
| Effect                  of STLLC restatement     |   |                                 | — |                              |   | —                   |   |                           | —      |        |   | —     |   |      | 897,235 |   |   | 402,238 |   |   | 1,299,473 |   |
| Loss                                             |   |                                 | — |                              |   | —                   |   |                           | —      |        |   | —     |   |      | — |   |   | (662,590 | ) |   | (662,590 | ) |
|                                             |   |                                 |    |                              |   |                      |   |                           |         |        |   |        |   |      |    |   |   |   |   |   |   |   |
| Balance                  at                      |   |                                 |    |                              |   |                      |   |                           |         |        |   |        |   |      |    |   |   |   |   |   |   |   |
| December                  31,2005                |   |                                 | 160,000 |                              | $      | 400,000                   |   |                           | 3,761,312    |        | $      | 752,262     |   | $         | 899,420 |   | $ | (1,068,850 | ) | $ | 982,832 |   |
|                                             |   |                                 |    |                              |   |                      |   |                           |         |        |   |        |   |      |    |   |   |   |   |   |   |   |
|                                             |   |                                 |    |                              |   |                      |   |                           |         |        |   |        |   |      |    |   |   |   |   |   |   |   |
| Balance                  at                      |   |                                 |    |                              |   |                      |   |                           |         |        |   |        |   |      |    |   |   |   |   |   |   |   |
| Octobert                  1, 2006                |   |                                 | 160,000 |                              | $      | 400,000                   |   |                           | 3,761,312    |        | $      | 752,262     |   | $         | 899,420 |   | $ | (1,486,824 | ) | $ | 564,858 |   |
| Stock                  issuance for compensation |   |                                 |    |                              |   |                      |   |                           | 10,250,000   |        |   | 10,250      |   |      | — |   |   | — |   |   | 10,250 |   |
| Loss                                             |   |                                 | — |                              |   | —                   |   |                           | —      |        |   | —     |   |      | — |   |   | (153,934 | ) |   | (153,934 | ) |
|                                             |   |                                 |    |                              |   |                      |   |                           |         |        |   |        |   |      |    |   |   |   |   |   |   |   |
| Balance                  at                      |   |                                 |    |                              |   |                      |   |                           |         |        |   |        |   |      |    |   |   |   |   |   |   |   |
| December                  31, 2006               |   |                                 | 160,000 |                              | $      | 400,000                   |   |                           | 14,011,312   |        | $      | 762,512     |   | $         | 899,420 |   | $ | (1,640,758 | ) | $ | 421,174 |   |

*-          3          -*

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**FALCON        RIDGE DEVELOPMENT, INC.**

**STATEMENT        OF CASH FLOWS**

**(Unaudited)**

|                                                                                                      |   |    |   |                              |   |     |   |
|-----------------------------------------------------------------------------------------------------------|--------|--------------|--------|-----------------------------------|--------|----------|--------|
|                                                                                                      |   |    |   | **Period                  Ended** |   |
|                                                                                                      |   |    |   | **December                  31**  |   |
|                                                                                                      |   |    |   | **2006**                          |   | **2005** |   |
| Cash                  flows from operating activities:                                                    |   |    |   |                              |   |     |   |
| Net                  income/loss                                                                          |   |         |   |                              | $      | (153,934 | )      | $ | (260,329 | ) |
| Adjustments                  to reconcile net loss to net cash                                            |   |         |   |                              |   |     |   |   |   |   |
| used                  by operating activities:                                                            |   |         |   |                              |   |     |   |   |   |   |
| Depreciation                                                                                              |   |         |   |                              |   | 1,577    |   |   | 394 |   |
| Changes                  in operating assets and liabilities,                                             |   |         |   |                              |   |     |   |   |   |   |
| excluding                  effects of business combinations:                                              |   |         |   |                              |   |     |   |   |   |   |
| Land                  development costs                                                                   |   |         |   |                              |   | (100,851 | )      |   | (1,014,250 | ) |
| Prepaid                  expenses                                                                         |   |         |   |                              |   | —  |   |   | (13,540 | ) |
| Accounts                  payable                                                                         |   |         |   |                              |   | 131,550  |   |   | 124,815 |   |
| Accrued                  liabilities                                                                      |   |         |   |                              |   | 16,235   |   |   | 81,299 |   |
| Retainage                  payable                                                                        |   |         |   |                              |   | —  |   |   | (55,335 | ) |
| Stock                  based compensation                                                                 |   |         |   |                              |   | 10,250   |   |   | 115 |   |
| Deferred                  revenue                                                                         |   |         |   |                              |   | —  |   |   | (196,500 | ) |
|                                                                                                           |   |         |   |                              |   |     |   |   |   |   |
| Net                    cash (used in) provided by                     operating activities |   |         |   |                              |   | (95,173  | )      |   | (1,333,331 | ) |
|                                                                                                      |   |         |   |                              |   |     |   |   |   |   |
| Cash                  flows from investing activities:                                                    |   |         |   |                              |   |     |   |   |   |   |
|                                                                                                      |   |         |   |                              |   |     |   |   |   |   |
| Acquisition                  of fixed assets                                                              |   |         |   |                              |   | —  |   |   | (26,030 | ) |
|                                                                                                      |   |         |   |                              |   |     |   |   |   |   |
| Net                  cash used                  in  investing                  activities       |   |         |   |                              |   | —  |   |   | (26,030 | ) |
|                                                                                                      |   |         |   |                              |   |     |   |   |   |   |
| Cash                  flows from financing activities:                                                    |   |         |   |                              |   |     |   |   |   |   |
| Decrease                  in related party indebtedness                                                   |   |         |   |                              |   | 51,366   |   |   | 1,183,557 |   |
| Repayments                  of notes payable                                                              |   |         |   |                              |   | —  |   |   | (81,650 | ) |
| Increase                  in other assets                                                                 |   |         |   |                              |   | —  |   |   | (220 | ) |
| Proceeds                  from short term note                                                            |   |         |   |                              |   | 200,000  |   |   | — |   |
|                                                                                                      |   |         |   |                              |   |     |   |   |   |   |
| Net                  cash used in financing activities                                                    |   |         |        |                              |   | 251,366  |   |   | 1,101,687 |   |
|                                                                                                      |   |         |   |                              |   |     |   |   |   |   |
|                                                                                                      |   |         |   |                              |   |     |   |   |   |   |
| Net                  change in cash                                                                  |   |         |   |                              |   | 156,193  |   |   | (257,674 | ) |
|                                                                                                      |   |         |   |                              |   |     |   |   |   |   |
| Cash:                                                                                                     |   |         |   |                              |   |     |   |   |   |   |
| Beginning                  of period                                                                      |   |         |   |                              |   | 3,754    |   |   | 323,505 |   |
|                                                                                                      |   |         |   |                              |   |     |   |   |   |   |
| End                  period                                                                               |   |         |   |                              | $      | 159,947  |   | $ | 65,831 |   |
|                                                                                                      |   |         |   |                              |   |     |   |   |   |   |
| Supplemental                  disclosure of cash flow information:                                        |   |         |   |                              |   |     |   |   |   |   |
| Cash                  paid during the year for:                                                           |   |         |   |                              |   |     |   |   |   |   |
| Income                  taxes                                                                             |   |         |   |                              | $      | —  |   | $ | — |   |
| Interest                                                                                                  |   |         |   |                              | $      | 29,778   |   | $ | 19,452 |   |

*-          4          -*

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**FALCON      RIDGE DEVELOPMENT, INC.**

**Notes      to Consolidated Financial Statements**

**(Unaudited)**

*-          5          -*

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**FALCON      RIDGE DEVELOPMENT, INC.**

**Notes      to Consolidated Financial Statements**

**(Unaudited)**

*-          6          -*

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**FALCON      RIDGE DEVELOPMENT, INC.**

**Notes      to Consolidated Financial Statements**

**(Unaudited)**

*-          7          -*

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**FALCON      RIDGE DEVELOPMENT, INC.**

**Notes      to Consolidated Financial Statements**

**(Unaudited)**

*-          8          -*

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**FALCON      RIDGE DEVELOPMENT, INC.**

**Notes      to Consolidated Financial Statements**

*-          9          -*

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**FALCON      RIDGE DEVELOPMENT, INC.**

**Notes      to Consolidated Financial Statements**

**(Unaudited)**

| Note                payable to Karen Duran, interest at 8.5%, principal and interest                payable                in annual installments of $17,000 |   |   |      |
|--------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|--------|-----------|
| Total                financing under the agreement is $200,000                                                                                               |   | $      | 191,000   |   |
|                                                                                                                                                         |   |   |           |   |
| Note                payable to Karen Duran, interest at 8.5%,principal                and interest payable May 25,2007                                       |   |   |           |   |
| Total                financing under the agreement is $150,000                                                                                               |   |   | 150,000   |   |
|                                                                                                                                                         |   |   |           |   |
| Advances                payable to Falcon Ridge Development LLC, an affiliate, payable on                demand                                              |   |   | 663,181   |   |
|                                                                                                                                                         |   |   |           |   |
| Accrued                interest payable                                                                                                                      |   |   | 28,827    |   |
|                                                                                                                                                         |   |   |           |   |
|                                                                                                                                                         |   | $      | 1,033,008 |   |
|                                                                                                                                                         |   |   |           |   |

*-          10          -*

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**FALCON      RIDGE DEVELOPMENT, INC.**

**Notes      to Consolidated Financial Statements**

**(Unaudited)**

|      |   | Cost   |   | Accumulated                Depreciation |   |
|-----------|--------|--------|--------|-----------------------------------------|--------|
|      |   |   |   |                                    |   |
| Software  |   | $      | 32,349 |                                    | $      | 3,131 |   |
| Equipment |   |   | 7,981  |                                    |   | 2,394 |   |
|      |   |   |   |                                    |   |   |   |
|      |   | $      | 40,330 |                                    | $      | 5,525 |   |
|      |   |   |   |                                    |   |   |   |

| Land                acquisition costs |   | $      | 2,186,033 |   |
|---------------------------------------|--------|--------|-----------|--------|
| Land                development costs |   |   | 660,576   |   |
| Capitalized                interest   |   |   | 97,682    |   |
|                                  |   |   |           |   |
|                                  |   | $      | 2,944,291 |   |

| Note                payable to Toby and Mary Ann Cordova, with interest at 6.5 percent,                principal and interest payable in semi-annual installments of $21,862,                collateralized by a real estate contract due 2-18-2019 |   |   |    |
|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|--------|---------|
| Total                financing under the agreement is $435,000                                                                                                                                                                                      |   | $      | 370,311 |   |

| Note                payable to an individual, repayable with interest calculated at 10%                per                annum on the receipt of $ 5,000,000 from a private placement of securities                or six months whichever comes first. The note may be extended for                ninety                days with the payment of a two percent renewal fee. |   |    |          |
|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|---------|---------------|
| Total                financing under the agreement is $200,000                                                                                                                                                                                                                                                                                                                 |   |    | 200,000       |   |
|                                                                                                                                                                                                                                                                                                                                                                           |   |  $ |  570,311 |   |

| Year                ending December 31, |   |   |    |
|-----------------------------------------|--------|--------|---------|
| 2007                                    |   | $      | 219,975 |   |
| 2008                                    |   |   | 21,294  |   |
| 2009                                    |   |   | 22,702  |   |
| 2010                                    |   |   | 24,201  |   |
| 2011                and thereafter      |   |   | 282,139 |   |
|                                    |   | $      | 570,311 |   |

*-          11          -*

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**FALCON      RIDGE DEVELOPMENT, INC.**

**Notes      to Consolidated Financial Statements**

**(Unaudited)**

| U.S.                statutory federal rate                                                       |   |   | 20.000  | %      |
|--------------------------------------------------------------------------------------------------|--------|--------|---------|--------|
| State                income tax rate                                                             |   |   | 4.80    | %      |
| Net                operating loss for which no tax benefit is currently                available |   |   | -24.800 | %      |
|                                                                                             |   |   |         |   |
|                                                                                             |   |   | 0.00    | %      |

|   | · | Shares                are non-cumulative with a preference over common shares if and when                a                dividend is declared. |
|--------|--------|-------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | Shares                are convertible into common stock at any time on the basis of 100                common                shares for 1 share of preferred stock. This conversion rate is subject                to                adjustments for forward or reverse splits or other capitalizations.                The                option was of no intrinsic benefit, at the commitment date, to the                preferred shareholder. |
|--------|--------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

*-          12          -*

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**FALCON      RIDGE DEVELOPMENT, INC.**

**Notes      to Consolidated Financial Statements**

**(Unaudited)**

|   | · | Shares                have a priority over common shares upon                liquidation. |
|--------|--------|-------------------------------------------------------------------------------------------|

|   | · | Shares                are callable at any time by the Company at the original purchase                price.                The Preferred Shareholders will have thirty days thereafter to convert                to                common stock. |
|--------|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | Shares                are non-cumulative with a preference over common shares if and when                a                dividend is declared. |
|--------|--------|-------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | Investor                will receive a dividend of 12% per annum payable monthly for a period                of                eighteen months from the date of                purchase. |
|--------|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | Shares                are convertible into common stock at any time on the basis of 75%                of the                average current bid price for the preceding 20 days of the Company's                receipt of notice to convert. This conversion rate is subject to                adjustments for forward or reverse splits or other capitalizations.                The                option was of no intrinsic benefit, at the commitment date, to the                preferred shareholder. |
|--------|--------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | Shares                have a priority over common shares upon                liquidation. |
|--------|--------|-------------------------------------------------------------------------------------------|

|   | · | Shares                are callable by the Company at any time after 12 months of issuance                of                Preferred B shares at the original purchase price. The Preferred                Shareholders will have sixty days thereafter to convert to common                stock.                The shares will be repurchased after eighteen months for the original                issue price. |
|--------|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

*-          13          -*

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**ITEM      2. MANAGEMENT'S DISCUSSION AND ANALYSIS OR PLAN OF      OPERATION.**

*-          14          -*

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*-          15          -*

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*-          16          -*

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*-          17          -*

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**ITEM      3. CONTROLS AND PROCEDURES**

*-          18          -*

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**PART      II. OTHER INFORMATION**

**ITEM      1. LEGAL PROCEEDINGS**

**ITEM      2. UNREGISTERED SALES OF EQUITY SECURITIES AND USE OF      PROCEEDS.**

**ITEM      3. DEFAULTS UPON SENIOR SECURITIES**

**ITEM      4. SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS**

**ITEM      5. OTHER INFORMATION**

*-          19          -*

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**ITEM      6. EXHIBITS AND REPORTS ON FORM 8-K**

| **Exhibit****No.** |   | **Description**                                                                                                                                                                                                                                                                                                                                                                                                                                  |
|--------------------|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| 2.1                |   | Agreement                and Plan of Reorganization - Pocketspec Technologies, Inc. and Sierra                Norte LLC (a)                                                                                                                                                                                                                                                                                                                      |
| 2.2                |   | Acquisition                Agreement - Pocketspec Technologies, Inc. and Spanish Trails, LLC                (b)                                                                                                                                                                                                                                                                                                                                  |
| 3.1                |   | Articles                of Incorporation of Falcon Ridge Development, Inc. previously                filed.                                                                                                                                                                                                                                                                                                                                      |
| 3.2                |   | Bylaws                of Falcon Ridge Development, Inc. previously filed.                                                                                                                                                                                                                                                                                                                                                                        |
| 3.3                |   | Articles                of Organization of Sierra Norte, LLC previously filed.                                                                                                                                                                                                                                                                                                                                                                   |
| 3.4                |   | Operating                Agreement of Sierra Norte, LLC previously filed.                                                                                                                                                                                                                                                                                                                                                                        |
| 3.5                |   | Articles                of Organization of Spanish Trails, LLC previously                filed.                                                                                                                                                                                                                                                                                                                                                  |
| 3.6                |   | Operating                Agreement of Spanish Trails, LLC previously filed.                                                                                                                                                                                                                                                                                                                                                                      |
| 4.1                |   | Articles                of Amendment - Establishment of Series of Preferred Stock previously                filed.                                                                                                                                                                                                                                                                                                                               |
| 10.1               |   | Purchase                Agreement - Spanish Trails, LLC and D.R. Horton* (Confidential portions                of                this agreement noted by *** have been omitted and filed separately                with                the Securities and Exchange Commission pursuant to a request for                confidentiality under Rule 24b-2 of the Securities Exchange Act of                1934.)                Previously filed. |
| 10.2               |   | Promissory                Note - Karen Y. Duran - Sierra Norte, LLC - May 20, 2005 - $150,000                previously filed.                                                                                                                                                                                                                                                                                                                   |
| 10.3               |   | Promissory                Note - Karen Y. Duran - Sierra Norte, LLC - June 1, 2005 - $200,000                previously filed.                                                                                                                                                                                                                                                                                                                   |
| 10.4               |   | Promissory                Note - Karen Y. Duran - Sierra Norte, LLC - June 19, 2005 - $66,000                previously filed.                                                                                                                                                                                                                                                                                                                   |
| 14.1               |   | Code                of Ethics previously filed.                                                                                                                                                                                                                                                                                                                                                                                                  |
| 21.1               |   | List                of Subsidiaries previously filed.                                                                                                                                                                                                                                                                                                                                                                                            |
| 23.1               |   | Consents                of experts                                                                                                                                                                                                                                                                                                                                                                                                               |
| 31.1               |   | Certification                of Chief Executive Officer pursuant to Rule                13a-14(a)/15(d)-14(a)*                                                                                                                                                                                                                                                                                                                                   |
| 31.2               |   | Certification                of Chief Financial Officer pursuant to Rule                13a-14(a)/15(d)-14(a)*                                                                                                                                                                                                                                                                                                                                   |
| 32.1               |   | Certification                of Chief Executive Officer pursuant to 18 U.S.C. Section 1350, as                adopted                pursuant to Section 906 of the Sarbanes-Oxley Act of                2002*                                                                                                                                                                                                                                   |
| 32.2               |   | Certification                of Chief Financial Officer pursuant to 18 U.S.C. Section 1350, as                adopted                pursuant to Section 906 of the Sarbanes-Oxley Act of                2002*                                                                                                                                                                                                                                   |
| 99                 |   | Additional                Exhibits - None                                                                                                                                                                                                                                                                                                                                                                                                        |

|   | (a) | Filed                on May 25, 2005 as Exhibit 2.1 with the Registrant's Current Report                on                Form 8-K and incorporated herein by                reference. |
|--------|-----|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (b) | Filed                on July 8, 2005 as Exhibit 10.19 with the Registrant's Current Report                on                Form 8-K and incorporated herein by                reference. |
|--------|-----|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | b. | Reports                on Form 8-K |
|--------|----|------------------------------------|

*-          20          -*

----

**SIGNATURES**

|                                   |                            | Falcon                Ridge Development, Inc.                        |
|----------------------------------------|---------------------------------|----------------------------------------------------------------------|
| Dated:                January 20, 2007 | By:                   | /s/                Fred M. Montano                                   |
|                                   |                            | Fred                M. Montano                                       |
|                                   |                            | President,                Chief Executive Officer, and Director      |
|                                   |                            |                                                                 |
| Dated:                January 20, 2007 | By:                   | /s/                Karen Y. Duran                                    |
|                                   |                            | Karen                Y. Duran                                        |
|                                   |                            | Vice                President, Treasurer and Chief Financial Officer |
|                                   |                            |                                                                 |
|                                   |                            |                                                                 |

*-          21          -*

----

**EXHIBIT      INDEX**

| **Exhibit****No.** |   | **Description**                                                                                                                                                                                                                                                                                                                                                                                                                                  |
|--------------------|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| 2.1                |   | Agreement                and Plan of Reorganization - Pocketspec Technologies, Inc. and Sierra                Norte LLC (a)                                                                                                                                                                                                                                                                                                                      |
| 2.2                |   | Acquisition                Agreement - Pocketspec Technologies, Inc. and Spanish Trails, LLC                (b)                                                                                                                                                                                                                                                                                                                                  |
| 3.1                |   | Articles                of Incorporation of Falcon Ridge Development, Inc. previously                filed.                                                                                                                                                                                                                                                                                                                                      |
| 3.2                |   | Bylaws                of Falcon Ridge Development, Inc. previously filed.                                                                                                                                                                                                                                                                                                                                                                        |
| 3.3                |   | Articles                of Organization of Sierra Norte, LLC previously filed.                                                                                                                                                                                                                                                                                                                                                                   |
| 3.4                |   | Operating                Agreement of Sierra Norte, LLC previously filed.                                                                                                                                                                                                                                                                                                                                                                        |
| 3.5                |   | Articles                of Organization of Spanish Trails, LLC previously                filed.                                                                                                                                                                                                                                                                                                                                                  |
| 3.6                |   | Operating                Agreement of Spanish Trails, LLC previously filed.                                                                                                                                                                                                                                                                                                                                                                      |
| 4.1                |   | Articles                of Amendment - Establishment of Series of Preferred Stock previously                filed.                                                                                                                                                                                                                                                                                                                               |
| 10.1               |   | Purchase                Agreement - Spanish Trails, LLC and D.R. Horton* (Confidential portions                of                this agreement noted by *** have been omitted and filed separately                with                the Securities and Exchange Commission pursuant to a request for                confidentiality under Rule 24b-2 of the Securities Exchange Act of                1934.)                Previously filed. |
| 10.2               |   | Promissory                Note - Karen Y. Duran - Sierra Norte, LLC - May 20, 2005 - $150,000                previously filed.                                                                                                                                                                                                                                                                                                                   |
| 10.3               |   | Promissory                Note - Karen Y. Duran - Sierra Norte, LLC - June 1, 2005 - $200,000                previously filed.                                                                                                                                                                                                                                                                                                                   |
| 10.4               |   | Promissory                Note - Karen Y. Duran - Sierra Norte, LLC - June 19, 2005 - $66,000                previously filed.                                                                                                                                                                                                                                                                                                                   |
| 14.1               |   | Code                of Ethics previously filed.                                                                                                                                                                                                                                                                                                                                                                                                  |
| 21.1               |   | List                of Subsidiaries previously filed.                                                                                                                                                                                                                                                                                                                                                                                            |
| 23.1               |   | Consents                of experts                                                                                                                                                                                                                                                                                                                                                                                                               |
| 31.1               |   | Certification                of Chief Executive Officer pursuant to Rule                13a-14(a)/15(d)-14(a)*                                                                                                                                                                                                                                                                                                                                   |
| 31.2               |   | Certification                of Chief Financial Officer pursuant to Rule                13a-14(a)/15(d)-14(a)*                                                                                                                                                                                                                                                                                                                                   |
| 32.1               |   | Certification                of Chief Executive Officer pursuant to 18 U.S.C. Section 1350, as                adopted                pursuant to Section 906 of the Sarbanes-Oxley Act of                2002*                                                                                                                                                                                                                                   |
| 32.2               |   | Certification                of Chief Financial Officer pursuant to 18 U.S.C. Section 1350, as                adopted                pursuant to Section 906 of the Sarbanes-Oxley Act of                2002*                                                                                                                                                                                                                                   |
| 99                 |   | Additional                Exhibits - None                                                                                                                                                                                                                                                                                                                                                                                                        |

*-          22          -*

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